RFID Innovation Center - Future Store

METRO Group 

RFID Innovation Center 

An information and development platform for the future of commerce

Contents 

4 Introduction 

Fit for the future of retail 

10 RFID in order picking 

In the right place at the right time 

14 RFID in warehouse management 

Keeping an eye on deliveries 

20 RFID in the department store 

Customer service, made to measure 

26 RFID in the supermarket 

The shopping experience of the future 

32 RFID in the household 

Little helpers around the house 

36 Service package 

Know-how for our industry partners 

44 Any questions? 

Contact and glossary 

Floor plan 

Partners

In department stores and supermarkets of the 21st century, it is the customer 

who sets the tone. The desire for an individual shopping experience, a tailor-made 

product range and personal service are the guiding principles behind new retailing 

concepts. Modern technology is indispensable for improving processes and procedures 

and offering customers even more convenience. Radio Frequency Identification, 

or RFID for short, is a key instrument to boost efficiency and customer 

satisfaction. It allows the path a product takes from the manufacturer all the 

way to the shelf to be closely traced and reliably controlled. The METRO Group 

RFID Innovation Center offers consumer goods manufacturers, technical specialists 

and retailers the unique opportunity to become acquainted with this future 

technology at first hand and put it to the test. 

3

INTRODUCTION 

Introduction

6 

INTRODUCTION 

Shaping the future 

In future, modern technologies based on Radio Frequency Identification (RFID) will speed 

up all retail-related processes – from delivery to warehousing and all the way to the point of 

sale. The ability to use these technologies and network them intelligently will be a decisive 

competitive factor. The METRO Group RFID Innovation Center demonstrates possible 

applications of RFID technology and serves partners from retail, industry and IT partners as 

information and development platform. 

RFID – four letters for greater efficiency 

RFID is a key technology for the automation of business processes in retail. It enables the 

unique identification of items along the entire supply chain. This means that the movement 

of goods and accounting procedures along the supply chain can now be registered and documented 

automatically. In the future, employees in the warehouse will be able to use the 

technology to call up current stock levels at the push of a button and reorder the products 

in good time. All in all, RFID boosts the efficiency of processes governing incoming goods 

and improves data collection and warehousing. The technology also makes a real difference 

in terms of quality assurance: soon it will be possible to trace every single step taken by food 

products from the producer to the store shelf. 

The benefits, an overview: 

� Fast and accurate control of incoming and outgoing goods 

� Efficient inventory and warehouse management 

� Low warehousing costs 

� Permanent inventory control 

� Improved availability of goods 

� Simplified quality assurance 

1 Pallet/carton with 

RFID transponder 

Fit for the future of retail 

2 Reader at portal for 3 Middleware 

incoming/outgoing goods 

EPC 

4 Merchandise management 

system 

EPC-linked 

information: 

� Supplier, manufacturer 

� Delivery note number, 

item reference 

� Etc. 

RFID at the METRO Group 

The METRO Group started introducing RFID technology gradually along the entire supply 

chain in November 2004. The long-term aim is to completely automate the portals for incoming 

and outgoing goods, to reorder the stock and to sort items in warehouses and stores. 

EPC

INTRODUCTION 

To assist in this, many of the METRO Group’s industry partners now equip their deliveries 

with RFID transponders. Numerous METRO Group central warehouses and stores belonging 

to the group’s sales brands Metro Cash & Carry, Real and Galeria Kaufhof are also involved 

in introducing the technology in Germany. In addition, the METRO Group is testing the 

feasibility of RFID deployment in international goods transport between Asia and Germany 

as part of its pilot project “Advanced Logistics Asia” (ALA). 

Platform for partners 

With the foundation of its RFID Innovation Center in 2004, the METRO Group created an 

information and development platform that is unique in Europe. Suppliers, IT partners and 

representatives of the company’s sales brands can use the center to acquaint themselves 

with the technology and test it in real-life conditions. Located in part of a specially converted 

warehouse belonging to the Galeria Kaufhof sales brands, the 2000 square metres 

METRO Group RFID Innovation Center includes a test area and over 40 systems that demonstrate 

RFID in various applications. The exhibits are grouped into five different areas: 

� RFID in order picking 

� RFID in warehouse management 

� RFID in the department store 

� RFID in the supermarket 

� RFID in private households 

Since the end of 2005, the METRO Group RFID Innovation Center has also been home to 

the European EPC Competence Center (EECC). This test and research facility offers various 

ways to test RFID under realistic conditions. It is available to all companies wishing to prepare 

for the introduction of the technology. The EECC also holds RFID training courses for 

beginners, advanced learners and experts. 

From the manufacturer to the store – a look into the future 

Before finding its way to the shelf, every product undertakes a long journey: from the manufacturer 

via one or several distribution centers to the stores and supermarkets of the retail 

company. With the aid of RFID, goods movements and accounting procedures can be automatically 

registered and documented along the entire supply chain, even internationally. The 

manufacturer fits the pallets and cartons with RFID transponders. The Electronic Product 

Code (EPC), a numerical sequence similar to the European Article Number (EAN), is stored 

on these minuscule microchips. The EPC makes it possible to unambiguously identify goods 

anywhere along the entire supply chain. When the goods are sent out, an RFID reader automatically 

scans the logistic units using radio waves and transmits the data to the manufacturers’ 

and retailers’ merchandise management systems where various process- and 

product-related information is stored (e.g. name, origin, storage location and production 

7

8 

INTRODUCTION 

date). This means that the picked goods can be checked against the goods ordered in a 

matter of seconds and released for transport. 

The goods are taken by truck to the distribution centers. Here, too, RFID readers accelerate 

the incoming goods procedures. They scan the information stored on the transponders of 

the incoming pallets and cartons so that they can be effortlessly sorted according to their 

individual destinations and distributed to trucks. In the warehouse of the future, both the 

forklifts and high shelves are equipped with RFID to guarantee that the logistic units are 

placed on the right shelves. At the portal for outgoing goods, picked items are checked 

again – automatically and without physical contact. The information is transferred electronically 

from the distribution center to the stores’ merchandise management systems. 

From the distribution centers, the goods are transported to the stores. When the truck is 

unloaded at the portal for incoming goods of the supermarket or department store, an RFID 

reader registers the cartons and pallets. The merchandise management system compares 

the incoming goods with the order data. Again, forklifts and high shelves equipped with RFID 

will make sure that goods are directed to the right shelf. Employees can then locate the pallets 

and cartons accurately and precisely at any time. As soon as they are brought into the 

sales floor, RFID readers scan the EPC stored on the transponder again. The arrival of the 

goods in the sales floor is entered into the merchandise management system. 

Responsible use of RFID 

The implementation of RFID throughout the METRO Group is currently limited to logistic 

units and retail units such as sales cartons. For the foreseeable future, customers will only 

come into direct contact with the technology as part of pilot projects. RFID is deployed in 

complete compliance with European data protection regulations. The international standardization 

organization EPCglobal, in which the METRO Group is an active member, has 

agreed on guidelines for the use of RFID in contact with customers that are far more extensive 

than the current legal requirements. For example, they guarantee that customers are 

provided with comprehensive information regarding the technology and its use. All goods 

and devices concerned are marked with the EPCglobal logo, and signs at the customer 

information counter or store entrance notify customers of RFID deployment. In addition, 

customers are given the option of having transponders on purchased items removed or 

permanently disabled after purchase.

INTRODUCTION 

9

RFID IN 

ORDER PICKING 

Order picking

12 

RFID IN ORDER PICKING 

In the right place at the right time 

Time-saving technology 

Until now, employees at manufacturers or distribution centers had to scan each 

carton individually when preparing pallets for shipment. Then they printed the 

corresponding outgoing goods labels bearing the Serial Shipping Container Code 

(SSCC), affixed them to the pallets, and scanned the data again by hand. RFID 

technology makes it possible to carry out multiple processes automatically and 

simultaneously. The time required for order picking is cut down considerably.

RFID IN ORDER PICKING 

Order picking aids with RFID 

Pick by Light 

Shipping cases fitted with transponders are moved along on a 

conveyor belt equipped with an RFID reader. Light signals on 

the shelf show employees which items have to be packed into 

the shipping cases. By automatically comparing data with the 

merchandise management system, the system also recognizes 

for which store or which warehouse the package is intended. 

This helps to eliminate wrong deliveries. 

Partner: Siemens Business Services 

Hanger-goods sorter 

The system sorts hanger goods – for example garments on 

clothes hangers – that are fitted with RFID transponders. The 

merchandise management system matches the Electronic 

Product Codes to the appropriate order and is thus able to ascertain 

the shipment destination of each individual item. The conveyor 

automatically transports the hangers along rails, in some 

cases all the way to the waiting delivery trucks. 

Partner: Siemens Business Services 

13

RFID IN WAREHOUSE 

MANAGEMENT 

Warehouse 

management

16 

RFID IN WAREHOUSE MANAGEMENT 

Keeping an eye on deliveries 

Logistics interfaces 

Highly efficient warehouse management is essential to ensure a smooth flow of 

goods from the manufacturer to the store. This ensures that the goods are distributed 

according to demand in the warehouses of manufacturers, wholesalers, 

supermarkets and department stores, as well as the intermediate distribution 

centers. 

More speed, greater transparency 

Using RFID warehouse management processes can be made far more efficient. 

Take incoming goods at the distribution center or store, for instance: until 

now pallets and cartons were counted on the warehouse ramp, compared one 

by one with the delivery note and entered manually into a computer. RFID simplifies 

the receipt of goods. The technology also helps later on in the process: 

by supporting staff in sorting pallets in the warehouse and speeding up order 

picking for the stores.


Stationary data collection using RFID 

Portal for incoming and outgoing goods 

Portals for incoming and outgoing goods equipped with RFID 

readers register the goods taken into and out of the warehouse 

by identifying the transponders on pallets and cartons. The data 

is automatically transmitted to the relevant logistics and merchandise 

management systems. Faulty deliveries are immediately 

recognized. 

Partners: Intermec, Oracle 

Business Activity Monitoring (BAM) 

A software to monitor and map business processes. It is used to 

document transport processes in real time. Online monitors and 

automatic warning notices ensure the supervision of minimum 

storage volumes and best-before dates. 

Partners: Checkpoint Systems, Oracle 

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Mobile data collection using RFID 

RFID handheld readers 

Ultrahigh frequency handheld readers can read the RFID transponders 

from the distance and allow the mobile inspection of 

individual pallets and cartons at the warehouse at any time. 

Partner: Intermec 

RFID sorting into the high shelf 

A forklift with an integrated RFID reader recognizes the pallets 

equipped with RFID transponders. It indicates the appropriate 

warehouse area to the operator, who then brings the pallets to 

the right place in the high shelf system. The system confirms that 

the goods have been shelved correctly. This helps to prevent 

goods being sorted wrongly. 

Partners: Chep, Intermec 

Pick by Voice 

The voice-operated “Pick by Voice” system speeds up the picking 

of consignments in the warehouse. Staff communicate with the 

merchandise management system via headset. While picking 

the pallets, employees wear a special glove with an integrated 

RFID reader. If they take the wrong product off the shelf, they 

receive a message via their headphones. When the delivery is 

complete, the employee conveys this to the system via the 

headset’s microphone. 

Partner: Deister Electronic


Tag Fit 

Logistics providers offer the consumer goods industry the service 

of equipping logistic units with RFID transponders. The picker 

receives the instruction to assemble an order via an online terminal. 

He takes a carton and marks it with an RFID transponder. Using special 

software, the Serial Shipping Container Code (SSCC) is assigned 

the corresponding Electronic Product Code and the RFID label is 

printed out. The goods are shrink-wrapped to ensure that they do 

not get damaged during transport. An RFID reader integrated in the 

wrapping station controls the finished consignment. 

Partners: Checkpoint Systems, DHL Exel Supply Chain, SATO, 

Sirit 

19

RFID IN THE 

DEPARTMENT STORE 

Department store

22 

RFID IN THE DEPARTMENT STORE 

Customer service, made to measure 

Individual advice, fast payment 

The department store of the future is on its way: promising customers individual 

advice on color and style combinations, extensive information on materials and 

how to look after garments, and fast payment at the check-out. Smart Dressing 

Rooms, Smart Shelves, Smart Display Tables and Smart Clothes Racks using 

RFID technology offer product information and comprehensive service. Modern 

check-out systems recognize a customer’s purchases instantly and automatically, 

so there’s no more need to queue. RFID also supports staff in carrying out 

inventory management. Empty shelves are a thing of the past.


RFID on the sales floor 

Smart Dressing Room/Smart Mirror 

An integrated RFID reader recognizes the RFID labels attached 

to the garments and supplies additional information on each item, 

for instance the sizes available and where they can be found on 

the sales floor. The Smart Mirror also includes a call button which 

the customer can use to summon a member of staff to bring a 

garment in another size or color. 

Partners: Checkpoint Systems, Paxar 

Smart Shelf/Smart Clothes Rack 

When a customer removes an item with a Smart Chip, relevant 

information, such as price and size and advertisements appear on 

the monitor. Sales staff are informed the moment stocks of a 

certain item run low and can restock the shelves or reorder the 

goods. 

Partners: Vue Technology, Impinj 

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RFID at the check-out 

Department check-out with RFID reader/ 

RFID hard tag opener 

All RFID labels on the garments are read simultaneously, instead 

of being scanned individually. RFID hard tags can only be 

removed once the garments have been paid for. 

Partners: Checkpoint Systems, Impinj 

Anti-theft system 

The anti-theft system monitors whether the anti-theft labels have 

been removed or deactivated. If this is not the case, an alarm is 

set off. 

Partner: ADT 

Integrated RFID check-out 

An RFID reader automatically registers the transponder on the 

clothes as soon as the anti-theft tag has been removed. 

Partner: ADT


25


SUPERMARKET 

Supermarket

28 

RFID IN THE SUPERMARKET 

The shopping experience of the future 

Shopping made easy 

Angry customers in front of empty shelves, long queues at the check-out, confused 

shoppers at the scales in the fruit and vegetable department – in the 

supermarket of the future, scenes like these will be a thing of the past. Smart 

Shelves will help staff to keep an eye on inventories. When stocks of a certain 

product run low, employees on the sales floor are given a signal so that they can 

refill the shelves in good time. Innovative check-out systems accelerate payment. 

Smart Scales recognize what the products are weighing. Using modern RFID 

applications, there are lots of ways to improve customer service and at the same 

time make retail processes more efficient.



Personal Shopping Assistant/Smart Trolley 

A portable minicomputer mounted on the handle of the shopping 

trolley helps to keep track of purchases. The Personal Shopping 

Assistant registers the products placed in the basket and shows 

a running tally of the customer’s purchases. At the check-out, the 

customer no longer needs to place each item on the belt, but 

simply hands the Personal Shopping Assistant to the cashier, 

who then initiates the payment procedure. The device also tells 

customers where to find products, provides information on special 

offers and even lets them access an Electronic Shopping 

List. The list can be generated on a home computer and sent to 

the store via Internet. 

The Smart Trolley makes shopping even more convenient, since 

the items no longer require individual manual scanning. It is 

equipped with an RFID reader and automatically identifies products 

tagged with Smart Chips as they are placed in the basket. 

Partners: AlgoTec, Fujitsu Siemens Computers, Loyalty Partner 

GmbH, Pironet NDH, Wincor Nixdorf, Wanzl 

Information Terminal “Supply Chain” 

The customer receives detailed product information like the origin 

of eggs or the nutritional value of apples. In the future, an RFID 

reader will register products tagged with Smart Chips and present 

the corresponding information. 

Partner: Pironet NDH 

Information Terminal for Wine with Everywhere Display 

Comprehensive background information on grape varieties, producing 

region or current special offers can be accessed via the 

Information Terminal. When the customer selects a wine, the 

Everywhere Display shows the way to the right shelf. By means 

of a camera-controlled projector, an arrow is projected on the 

floor to indicate the location of the product on the store shelf. 

Partner: Pironet NDH 

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Smart Scales 

Smart Scales use a camera to automatically identify the product 

the customer places on them. The item is then displayed on the 

screen to allow the customer to confirm the selection and the 

corresponding tag with a Smart Chip or barcode is printed out. 

Partner: Mettler Toledo 

Scales with RFID for staff use 

Staff members who use the scales wear special RFID bracelets 

that record which employee makes each sale. Booking errors are 

avoided. No personal data are stored by the bracelets and the IDs 

are reassigned each day, preventing a connection of a certain salesperson 

to the products sold. 

Partner: Bizerba 

Smart Shelves 

The system uses RFID technology to guarantee a complete 

overview of stocks at all times and presents relevant advertisements 

when individual products are removed. 

Partner: Procter & Gamble 

Automatic Empties Return 

This collection system lets customers return all kinds of empties 

quickly and conveniently. A camera recognizes whether drinks 

crates, deposit cans, single-use or returnable bottles are being 

returned. RFID readers record the packaging tagged with Smart 

Chips. 

Partner: Tomra


RFID at the check-out 

De-Activator 

Customers can use the De-Activator to permanently disable the 

Smart Chips on their shopping. After deactivation, the EPC can 

no longer be read and the transponder is no longer usable. 

Partner: METRO Group 

Supermarket check-out with RFID reader 

In the future, it will be possible to integrate both a De-Activator 

and an RFID reader into the check-out desk. The reader registers 

the EPC recorded on the products’ Smart Chips. Items without 

a Smart Chip are recorded using a conventional barcode scanner. 

Once a product has been paid for, the anti-theft system is automatically 

deactivated. It can be reactivated at the check-out for 

instance, if the product is exchanged. The Smart Chip, however, 

is rendered permanently unusable. 

Partner: ADT 

Smart Check-out 

Another way to pay and deactivate Smart Chips: customers place 

their shopping baskets or shopping bags on a counter with an 

integrated RFID reader. This registers all the items at the press 

of a button: payment can then be made by cash or card. A display 

then provides the option to select which transponders are 

to be deactivated. 

Partners: Impinj, Checkpoint Systems 

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HOUSEHOLD 

Household

34 

RFID IN THE HOUSEHOLD 

Little helpers around the house 

Clever kitchen appliances 

Modern technology is also making a place for itself in our private lives. In the 

home of the future, electrical appliances will be linked via wireless communication. 

The fully networked home based on RFID technology is still a vision, as 

Smart Chips will not be in widespread use at item level for at least the next 

10 to 15 years. Then it will be possible to run households more efficiently and 

transparently. Electronic inventory management for the home will greatly simplify 

planning and shopping.

RFID IN THE HOUSEHOLD 

Clever kitchen appliances 

Smart Fridge/Smart Freezer 

Both appliances use RFID to recognize which products are in 

stock and when specific items need to be purchased. The consumer 

determines the selection of products and the minimum 

stock level. The system automatically relays the information on 

required purchases to the Electronic Shopping List and gives 

advance notice before a product’s best-before date expires. In 

addition, the stored data can be accessed via the Internet. 

Partner: Liebherr 

Smart Wine Cooling Cabinet 

In the Smart Wine Cooling Cabinet, wines can be stored easily 

and conveniently at different temperatures. The wine bottles are 

tagged with a Smart Chip. This allows consumers to automatically 

check their stocks and request information on the product, such 

as the year it was bottled or recipes to go with the wine. 

Partner: Liebherr 

Smart Washing Machine 

The Smart Washing Machine is equipped with an RFID reader, 

enabling it to automatically identify the textiles the consumer puts 

in its drum. The appliance indicates the recommended washing 

program on its display. It even warns when items requiring separate 

washing have been placed in it. 

Partner: METRO Group 

IP telephone 

The Internet Protocol telephones at the METRO Group RFID Innovation 

Center channel voice and data traffic via the same network 

infrastructure. In the household of the future consumers will be 

able to monitor the contents of their Smart Fridges and Smart 

Freezers via IP telephony. The data will appear on the display of the 

telephone system. 

Partner: Cisco Systems 

35

SERVICE PACKAGE 

Service package

38 


Know-how for our industry partners 

Discover and learn 

The METRO Group RFID Innovation Center in Neuss, Germany, is open to all 

partners of the METRO Group interested in finding out about RFID and testing 

the new technology under real-life conditions. The European EPC Competence 

Center (EECC), sponsored by the METRO Group, DHL, GS1 Germany and Karstadt, 

was the first center in Europe to be awarded the title “EPCglobal Performance Test 

Center” in September 2005. It is located on the premises of the METRO Group 

RFID Innovation Center and offers comprehensive test and training programs as 

well as informative events. 

Putting theory into practice 

To make RFID adoption as easy as possible for manufacturers, the METRO Group 

and a number of selected IT partners in the Future Store Initiative have developed 

three tailored compact solutions. These Starter Kits include hardware and software 

as well as services. They put companies in an ideal position to begin profiting 

from the benefits of RFID.


The EECC helps companies to successfully introduce RFID and the EPC into their own operations. 

It acts as a platform for members to exchange information and allows users, suppliers 

and service providers to test the performance of RFID transponders on a variety of objects. 

The test center also has the objective to develop global standard solutions for RFID tests. 

Putting transponders to the test 

The quality and performance of RFID transponders is crucial for the technology to be 

applied successfully. At the METRO Group RFID Innovation Center, industry and IT partners 

are offered the opportunity to test transponders: 

� The GTEM cell (Gigahertz Transversal Electromagnetic) 

allows precise measurement of the 

efficiency and range of RFID transponders – 

free from external interference, such as electromagnetic 

fields from cellular phones, which 

could compromise test results. This is achieved 

by means of the metallic outer wall of the 

pyramid-shaped cell, which entirely shields its 

interior. 

� The European EPC Competence Center also enables static tests. These have the advantage 

that the results are universal, can be repeated under identical conditions and transferred 

to the real-life situation. The following tests can be carried out at the EECC: 

– Tests for positioning transponders: the properties of objects can have an impact on the 

performance of the RFID transponders. In this test, users can find out where best to position 

the RFID transponders on different objects. 

– Testing transponder range: the experts in the EECC test 

the maximum range of RFID transponders in accordance 

with regulations for radio communication. Regulations 

vary, for instance, in Europe, North America and Japan. 

Companies that are active at an international level will 

only be able to use EPC effectively when the transponders 

can be read anywhere in the world. 

– Testing transponder range depending on which way the 

transponder antenna is pointing: experts in the EECC test 

how the performance of the RFID transponders is 

affected when they turn the object around and thereby vary the way the transponder is 

aligned to the transmitter antenna. 

39

40 


– Dynamic tests: following the static tests, the results are verified in real-life surroundings. 

The test conditions are also specified. For example, the pallets are always driven along the 

same route and at the same speed through the RFID-supported portal. 

Comprehensive training program 

Beginners, advanced learners and experts can learn more about RFID and its applications 

at the EECC. The training program offers suitable courses for all target groups. 

The basic principles of RFID and EPC 

� Target group: companies with little experience of RFID. 

� Contents: how RFID works, EPCglobal standards, their relation to established GS1 standards, 

from the barcode to the EPC, practical tips for introducing RFID in the company. 

Criteria for the successful RFID roll-out 

� Target group: companies that have experience 

with RFID or are about to introduce the technology. 

� Contents: technological standards, physical 

parameters influencing the readability of transponders, 

tips where to position the RFID transponders 

including practical exercises. 

UHF expert training 

� Target group: companies already familiar with the 

technology, technology developers and specialists 

who support companies in introducing RFID. 

� Contents: “EPCglobal Class 1/Generation 2” in 

detail, RFID system design, behavior of UHF 

antenna arrays, RFID simulation. 

The experts continuously develop these courses, adapting them to the interests of 

participants.


The three available Starter Kits are instrumental in enabling companies to take part in the 

large-scale RFID roll-out throughout the METRO Group at a minimum investment. They 

also give them the opportunity to optimize their own processes and boost data quality. 

Starter Kit A 

For companies wishing to equip 

their shipments of goods with 

RFID, yet do not intend to utilize 

the technology elsewhere within 

their organizations, Starter Kit A 

is the answer. It enables them 

to print RFID transponders compliant 

with the EPC Class 1/ 

Generation 2 standard. When 

warehouse employees prepare 

pallets for shipment, they use a 

handheld scanner to read the 

Serial Shipping Container Code (SSCC). This information is automatically relayed to an RFID 

printer, which generates a transponder with the corresponding Electronic Product Code 

(EPC). Staff members then attach this label to the logistic unit. The advantage: retail partners 

can use RFID to register the shipment automatically on arrival. 

Partners: ADT, Avery Dennison, Bizerba, Checkpoint Systems, Dokumenta IBM, Intermec, 

Logopak Systeme, Motorola, Oracle, Paxar, SATO, Toshiba TEC, T-Systems, Zebra 

Starter Kit B 

Starter Kit B expands on Starter Kit A. As 

additional equipment, it includes RFID-supported 

portals for incoming and outgoing 

goods. These allow companies to automatically 

document internal processes and evaluate 

their efficiency, for example at the point 

where production and logistics meet. Outgoing 

goods processes, among other functions, 

can be automated: an electronic 

despatch advice (DESADV) is generated, 

by which the company can transmit the 

Serial Shipping Container Code (SSCC) to its 

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SERVICE-PAKET 

partners. Even before the goods have left the warehouse, all key data of the delivery are 

entered into the retailer’s IT system. 

Partners: ADT, Avery Dennison, Bizerba, Checkpoint Systems, Dokumenta IBM, Intermec, 

Logopak Systeme, Motorola, Oracle, Paxar, SATO, Toshiba TEC, T-Systems, Zebra 

B 

Manufacturer 

A 

A 

Starter Kit A: 

RFID labeling during production and order 

picking 

Starter Kit B: 

Additional RFID-supported portals for 

incoming and outgoing goods, integration 

into Enterprise Resource Planning (ERP) 

B

SERVICE-PAKET 

Starter Kit C 

Starter Kit C offers the full scope of Starter Kits A and B combined. It also includes complete 

integration of RFID processes into the Enterprise Resource Planning (ERP) system. In 

addition, a software solution (EPC Information Services, EPCIS) facilitates networking of all 

industry partners involved in the supply chain. By means of RFID, the partners can access, 

exchange and process stored product-related data via special data formats and interfaces. 

With the agreement of all parties, the path taken by goods from production to the store shelf 

can be seamlessly traced at all times. 

Distributor 

C 

Manufacturer 

C 

Starter Kit C: 

Additional option to integrate EPC Information 

Services (EPCIS), allowing data 

exchange throughout the entire supply 

chain. 

Subcontractor 

Store/Outlet 

43

ANY QUESTIONS? 

Any questions?

46 

The METRO Group RFID Competence Team is the central contact for all questions relating 

to the METRO Group RFID Innovation Center, registration for tests, training courses and 

guided tours. The staff can arrange discussions with experts from the METRO Group or from 

partner companies, and will send out information material upon request. General questions 

on RFID and the introduction of the technology throughout the METRO Group are also welcome. 

The METRO Group RFID Competence Team can be contacted by phone at 

+49 (0)2 11.68 86-20 04 or by e-mail at rfid@metro.de. 

Information is also available on the Internet at: www.future-store.org. 

The Team of the European EPC Competence Center (EECC) is also pleased to answer any 

questions: 

EECC 

Phone +49 (0)21 37.92 78 05 

Fax +49 (0)2 11.9 69-4 90-9366 

info@eecc.info 


Contact 

Further information is available on the Internet at: www.eecc.info. 

Information on the RFID Starter Kits is available from the Supplier Collaboration Team at 

MGBI METRO Group Buying International. 

Phone +49 (0)2 11.9 69-54 65 

Fax +49 (0)2 11.9 69-4 90-54 65 

info@metro-link.de


Glossary 

Electronic Product Code (EPC) – A number code that serves to positively identify 

objects throughout the entire supply chain. The EPC is made up of the European 

Article Number (EAN) and a multiple-digit serial number. It can be 

registered via Radio Frequency Identification (RFID) and matched with information 

stored in a database. Authorized users can thus access product and process 

details like the origin, warehouse location and production date of goods. No two 

EPCs in the world are identical. 

Enterprise Resource Planning (ERP) – A planning solution for companyinternal 

resources aimed at ensuring the capability to deliver goods. The software 

helps document capacities, timeframes, costs and expense data 

throughout the supply chain, enabling companies to process offers and fill 

orders more efficiently. 

EPCglobal – Joint venture by the standardization organizations GS1 and GS1 

US. EPCglobal was founded in 2003 to build on the research on RFID technology 

carried out by the Auto-ID Labs at the Massachusetts Institute of Technology 

(MIT) and to put it into practice. The aim is to optimize the Electronic Product 

Code (EPC) and establish it as a global standard in the consumer goods sector. 

EPCglobal Class 1/Generation 2 – An international standard for RFID 

transponders, containing guidelines for the structure and appearance of 

Electronic Product Codes (EPC) as well as specifications for data exchange 

with RFID readers. The METRO Group has been using exclusively Gen 2 

transponders on pallets and cartons since April 2006. 

European Article Number (EAN) – An internationally valid identification 

number for products and services, which can be presented as a barcode. It 

forms the basis for the deployment of scanner technology, and is used in commerce 

predominantly in logistics, merchandise management and payment 

procedures. The EAN provides key data, including the country of origin and 

manufacturer of a product. 

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Global Trade Item Number (GTIN) – An ID number with which products and 

logistic units can be positively identified anywhere in the world. The GTIN is 

an EAN standard, and forms the basis for the deployment of barcode technology. 

It is assigned and managed by GS1. 

GS1 – An alliance of European standardization organization EAN International 

and the American Uniform Code Council (UCC). GS1 is dedicated to establishing 

internationally valid, cross-sector standards and services that meet the 

demands arising from the increasing globalization of supply chains and business 

data exchange. Its measures include the introduction of the Global Trade Item 

Number (GTIN), which replaces the EAN code used up to now. GS1 currently 

has 108 member organizations in various countries. 

High Frequency (HF) – High-frequency electromagnetic fields within a spectrum 

from 3 to 30 megahertz. HF transponders can be read at medium range. 

Merchandise management system (MMS) – Computer-controlled database 

system which registers and manages quantity and value information down to 

the single-item level. The data is utilized in merchandise planning, ordering, 

receipt of goods, auditing, goods dispatch, cash register processing and 

invoicing. The purpose of an MMS is inventory and profit management. Merchandise 

management systems provide the retail industry with information for 

the evaluation and management of industry partners and products. 

METRO Group – The METRO Group is one of the world’s biggest international 

retail companies. Its capability is based of the strength of its sales brands 

which operate autonomously on the market: Metro/Makro Cash & Carry – world 

leaders in the cash and carry sector, Real hypermarkets and Extra supermarkets, 

Media Markt and Saturn – European market leaders in the consumer electronics 

sector, as well as the Galeria Kaufhof department stores.


METRO Group Future Store Initiative – An initiative launched in 2002 with 

the objective of advancing the modernization process in domestic and international 

retail. It focuses on the development of innovative technologies 

that offer customers more convenience and service while shopping and at 

the same time boost efficiency in retail. Within the framework of the initiative, 

the METRO Group cooperates with SAP, Intel, IBM, T-Systems and Cisco along 

with almost 70 other companies in the consumer goods, information technology 

and service sectors. 

Order picking – Grouping of products in predefined quantities and assortments 

and preparing them for delivery. Order picking is always based on a 

single order. The order contains the so-called picking list, which lists the amount 

and a description of each item, the item reference and the storage identification 

number. 

Radio Frequency Identification (RFID) – An innovative technology for contactfree 

data transfer based on electromagnetic alternating fields. At the heart of 

the technology is a computer chip with an antenna, termed an RFID transponder 

or Smart Chip. It stores a number code – in retail, for example, the Electronic 

Product Code (EPC). In order to register this information, a reader sends out an 

electromagnetic field, which is received by the antenna on the RFID transponder. 

It responds by transmitting the stored number sequence via modulation 

over the magnetic field. The reader receives the EPC, which can then be 

matched with information in a database. RFID helps the trade sector optimize 

its logistics and warehouse management processes. 

Retail unit – Retail units describe individual sales units. Retail units are differentiated 

according to the size of the packaging. 

RFID Reader – Computer-controlled device for reading the Electronic Product 

Code (EPC) stored on RFID transponders. Depending on the frequency used, 

RFID readers can read the number code stored on an RFID transponder from 

a distance of a few centimeters up to several meters. RFID readers can be 

portable or permanently installed, for instance inside the portals for incoming 

and outgoing goods of supermarkets or warehouses. Shelves in stores can 

also be equipped with RFID readers. 

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RFID Transponder (Smart Chip) – The heart of Radio Frequency Identification 

(RFID). An RFID transponder is a tiny computer chip with an antenna which is 

embedded in an extremely thin label. It can be attached to pallets, packets and 

products. The RFID transponder usually stores a number: for instance, the Electronic 

Product Code (EPC). This allows the specific identification of shipping 

units or individual items. The RFID transponders used in the consumer goods 

industry can be written once and read as often as required. Transponders that 

do not require a dedicated power source are known as passive transponders. 

They take their energy from the electromagnetic field transmitted by the RFID 

reader. The RFID transponder receives this signal and sends back the EPC 

stored on the chip. 

Serial Shipping Container Code (SSCC) – An internationally valid number for 

logistic units like pallets, cartons and hanger-goods shipments. It serves to 

precisely identify goods throughout the supply chain, and appears in the form 

of a barcode. 

SGTIN – Serial Global Trade Item Number, a serial international item reference. 

A GTIN augmented by one digit, permitting the worldwide recording and management 

of every single item of a product line. 

Shipping unit – Also termed logistic unit. All goods packed for transport, for 

example, in packages and on pallets. It refers to other forms of packaging as 

well, like roll containers or shipping containers for clothing. 

Supply Chain – The path taken by products from the manufacturer via intermediaries 

or distribution centers to the supermarket shelf. The retail industry 

aims to make the supply chain as efficient as possible and to optimize the punctuality 

and quality (e.g. uninterrupted cold chain) of deliveries. Legislators also 

have clear requirements regarding the transparency of the supply chain: since 

January 1, 2005, EU regulation 178/2002 has stipulated that the traceability of


foodstuffs at every stage of production, processing and distribution must be 

guaranteed. Radio Frequency Identification (RFID) is an innovative technology 

which enables significant improvements of efficiency in the planning and control 

of the supply chain. 

Ultrahigh frequency (UHF) – Electromagnetic fields operating at ultrahigh 

frequency within a spectrum from 300 megahertz to 3 gigahertz. UHF transponders 

can be read at a range of several meters. 

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51

Partners 

of the METRO Group Future Store Initiative 

Platinum Partners: 

� IBM 

� Intel 

� SAP 

� T-Systems 

� Cisco Systems 

Gold Partners: 

� ACNielsen 

� Coca-Cola 

� DHL Exel Supply Chain 

� FEIG ELECTRONIC 

� Fujitsu Services 

� GERRY WEBER 

� Henkel 

� Hewlett-Packard 

Silver Partners: 

� ADT 

� alpha Tonträger 

� Avery Dennison 

� Bizerba 

� CFP Brands 

� Checkpoint Systems 

� CHEP 

� Deister Electronic 

� Dokumenta 

� Easycash 

� echion 

� IDS Scheer 

� Impinj 

Other partners: 

� CISC 

� m.i.k. IT 

� Thax Software 

� Intermec 

� Johnson & Johnson 

� L’Oréal 

� Loyalty Partner 

� Microsoft 

� Motorola 

� Nestlé 

� NXP 

� Kurt Salmon Associates 

� Liebherr 

� Logopak 

� Mettler Toledo 

� MultiQ 

� NCR 

� NewSight 

� Nokia 

� OATSystems 

� Online Software 

� PAXAR 

� Psyma 

� Reva 

� ORACLE 

� PIRONET NDH 

� Procter & Gamble 

� Rhino’s 

� SATO 

� Ströer 

� VISA Europe 

� Wincor Nixdorf 

� Siemens AG 

� Sirit 

� Sonopress 

� TNS Infratest 

� Tomra 

� Toshiba TEC 

� UPM Raflatac 

� ValuePhone 

� VION Food Group 

� Vue Technology 

� Wanzl 

� WMS 

� Zebra

Floor plan 

Test lab 

Supermarket 

Household 

Lobby 

Department store 

Conference 

room 

Warehouse management Order picking 

Offices 

Meeting room

METRO Group 

Schlueterstrasse 1 

40235 Duesseldorf 

Germany 

Phone +49 (0)211.68 86-20 04 

Fax +49 (0)211.68 86-4 90-60 04 

rfid@metro.de 

www.metrogroup.de 

www.future-store.org 

© METRO AG, October 2007

RFID Innovation Center - Future Store

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